In This Chapter:
All About Credit Counselors

Credit counselors are powerful friends to have when you've gotten yourself into credit problems.  Sometimes they are your only friend.  Many times these trained experts are able to negotiate on your behalf with the creditors you are behind payments with to lower the interest rate or eliminate the interest rate altogether. This is called a debt consolidation plan, not a debt consolidation loan. You send the credit counselors your payment, and they in turn payoff all your creditors a little bit at a time using the lump sum you send them.  Most creditors will agree to this because it usually means they'll recover their investment in you instead of writing off a loss, or wasting more money on collection agencies to hound you.  But usually one of the provisions of this relaxing of the interest is that you must close the account. 

By time you have gotten so deep in debt that you need a credit counselor you should be tearing up all your cards anyway, because you have no business using them anymore.  Credit counselors can also work with you to create a budget that will get you out of debt.  Because they are trained experts in their field, they are a wealth of useful credit related information and you should get as many pamphlets as you can from them and tap them for as much advice as possible while you are using their services.

 

Who Will Give You A Credit Cards
Instead of applying to different credit cards, getting turned down, and having your credit ruined even more, try this cool credit card finder.  Just answer a few simple common questions, and they list all the credit card banks who are guaranteed to issue unsecured credit cards to people matching your criteria of "less than perfect credit".  It's like pre-qualifying, WITHOUT the credit check.

 
Click Here for a list of banks guaranteed to give you an unsecured Credit Card




Go to the next chapter All About Consolidation Loans